If the demand curve for desktop computers shifts rightward and at the same time the supply curve shifts leftward,then
A) the equilibrium price definitely rises.
B) the equilibrium price definitely falls.
C) the equilibrium price definitely remains the same.
D) More information is needed to determine the effect on the equilibrium price.
E) the equilibrium quantity definitely increases.

Question

Quizplus · Accepted Answer

When the demand curve shifts rightward, it indicates an increase in demand, which tends to increase the equilibrium price. Simultaneously, a leftward shift in the supply curve indicates a decrease in supply, which also tends to increase the equilibrium price. Therefore, the equilibrium price definitely rises.

If the Demand Curve for Desktop Computers Shifts Rightward and at the Same